Employment Insurance Regulations - Amendments

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Past Amendments to (Main) Regulations



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AMENDMENTS TO THE EMPLOYMENT INSURANCE REGULATIONS

SOR/2005-366
November 21, 2005



AMENDMENTS

1. The Employment Insurance Regulations1 are amended by adding the following after Part III:

PART III.1
 
REDUCTION OF PREMIUMS FOR EMPLOYEES COVERED BY A PROVINCIAL PLAN AND FOR THEIR EMPLOYERS
 
DIVISION 1
 
GENERAL
 
Interpretation
 
76.01 The definitions in this section apply in this Part.

"provincial benefits" means allowances, money or other benefits, paid to a person under a provincial plan because of pregnancy or in respect of the care by that person of one or more of their new-born children or one or more children placed with them for the purpose of adoption. (prestations provinciales)

"provincial plan" means a plan, established under a provincial law, that provides for the payment of provincial benefits and in respect of which an agreement has been entered into between the Government of Canada and the province to establish a system for reducing employer's and employee's premiums where the payment of those benefits would have the effect of reducing or eliminating benefits payable under section 22 or 23 of the Act. (régime provincial)

"variable administrative costs" means the amount of direct operating costs incurred to provide benefits under sections 22 and 23 of the Act that fluctuate with the number of claims for such benefits that are processed, not including any fixed operating costs related to the administration of the Act. (frais administratifs variables)

Adaptation of the Act and these Regulations

76.02 For the purposes of this Part, the Act and these Regulations are adapted as provided in this Part.

DIVISION 2
 
PREMIUM REDUCTION SYSTEM
 
Standards

76.03 A provincial plan shall, beginning on the day on which it takes effect, meet the following requirements:

  • (a) the plan must provide for the payment of provincial benefits;

  • (b) the plan must, at a minimum, cover substantially the same persons as those who are insured persons under the Act;

  • (c) the global amount of provincial benefits payable to a person under the plan must be substantially equivalent to or greater than the global amount of benefits payable to a claimant under section 22 or 23 of the Act;

  • (d) the plan must provide that an applicant who has received at least one week of provincial benefits under it shall continue to receive such benefits for their full period of entitlement, even if, after receiving that first week of benefits, they become a resident of a different province;

  • (e) the plan must provide for premium adjustment payments to be made to the Receiver General by the province where the plan is established in respect of employer's and employee's premiums paid under the plan in respect of employees who are not covered by the plan because of their residency; and

  • (f) the plan must provide for the sharing, by the province with the Government of Canada, of information obtained in the course of administering the plan that is necessary for the administration of a premium reduction system established by this Part, as well as information prepared from that information.
Premium Reduction

76.04 The employee's and employer's premiums payable under sections 67 and 68 of the Act, respectively, shall be reduced as provided by sections 76.05 and 76.06 in the circumstances where the payment of provincial benefits to insured persons under a provincial plan would have the result referred to in subsection 69(2) of the Act in respect of benefits payable to those persons under section 22 or 23 of the Act.

76.05 The premium reduction to be applied to employer's and employee's premiums shall be calculated by applying the premium reduction rate determined in accordance with section 76.06. 

76.06 (1) The premium reduction rate for a year is the rate determined by subtracting the rate determined under paragraph (b) from the rate determined under paragraph (a), by dividing the result by 2.4 and by rounding off the quotient obtained from that division in accordance with section 66.4 of the Act:

(a) the rate determined by adding the following results, namely,

  • (i) the result obtained by dividing the estimated total amount of all benefits that will be paid under sections 22 and 23 of the Act in respect of that year to all claimants who are not covered by a provincial plan by the estimated total amount of insurable earnings in that year of all persons who are not covered by such a plan, and

  • (ii) the result obtained by dividing the estimated total amount of the variable administrative costs that will be incurred in that year to provide benefits under sections 22 and 23 of the Act to all claimants who are not covered by a provincial plan by the estimated total amount of insurable earnings in that year of all persons who are not covered by a provincial plan; and

(b) the rate determined by adding the following results, namely,

  • (i) the result obtained by dividing the estimated total amount of all benefits that will be paid under sections 22 and 23 of the Act in respect of that year to all claimants who are covered by a provincial plan by the estimated total amount of insurable earnings in that year of all persons who are covered by a provincial plan, and

  • (ii) the result obtained by dividing the estimated total amount of the variable administrative costs that will be incurred in that year to provide benefits under sections 22 and 23 of the Act to all claimants who are covered by a provincial plan by the estimated total amount of insurable earnings in that year of all persons who are covered by a provincial plan.

(2) Actuarial estimates shall be used to determine the estimated amounts referred to in subsection (1).

(3) The results referred to in paragraphs (1)(a) and (b) shall be determined having regard to the same factors as those set out in subsections 65.3(1) and (2) of the Act.

76.07 (1) The premium reduction rate determined under section 76.06 shall be made available to the public by the Commission as soon as possible after it is determined.

(2) The reference to "premium rates" in the second sentence of section 66.5 of the Act shall be read as including a reference to the premium reduction rate determined in accordance with subsection 76.06(1).

76.08 The reimbursement amount paid by the Province of Quebec in accordance with section 4.5 of the Entente finale Canada-Québec sur le régime québécois d'assurance parentale, signed on March 1, 2005, shall be paid to the Receiver General and shall be considered as if it were an amount required to be paid into the Consolidated Revenue Fund under section 72 of the Act and shall be

  • (a) paid into the Consolidated Revenue Fund; and

  • (b) credited to the Employment Insurance Account and charged to the Consolidated Revenue Fund under paragraph 73(a) of the Act.
DIVISION 3
 
ENTITLEMENT
 
Disentitlement

76.09 (1) Subject to subsection (2), every claimant is disentitled to be paid benefits under section 22 or 23 of the Act if they are entitled to receive provincial benefits under a provincial plan.

(2) Subsection (1) does not apply if, at the request of the claimant, it is determined by the Commission that the amount of provincial benefits the claimant is entitled to receive under the provincial plan is not substantially equivalent to or greater than the amount of benefits that they are entitled to receive under section 22 or 23 of the Act.

(3) Every claimant who has received, or has applied for and is entitled to receive, provincial benefits under a provincial plan in respect of any week is disentitled to be paid benefits in respect of that same week under

  • (a) Part I of the Act, other than benefits under section 22 or 23 of the Act; or

  • (b) the Employment Insurance (Fishing) Regulations.

(4) For greater certainty, subsections (1) to (3) apply in respect of a claimant who has applied for and is entitled to receive provincial benefits under a provincial plan even if the claimant, after making that application, ceases to reside in the province where that plan was established.

(5) For greater certainty, where two persons are caring for the same child or children and one of them is a claimant referred to in subsection (4), subsections (1) to (3) apply in respect of the other person.

New Entrant or Re-entrant

76.1 (1) An insured person is considered not to be a new entrant or a re-entrant to the labour force for the purpose of subsection 7(4.1) of the Act if they

  • (a) have been paid one or more weeks of provincial benefits in the period of 208 weeks referred to in that subsection; and

  • (b) would have been entitled to receive the special benefits referred to in that subsection for that same period, had they not been paid those provincial benefits.

(2) For the purpose of paragraph (1)(a),

  • (a) the reference to "a week of benefits" in subsection 25(1) shall be read as a reference to "a week of provincial benefits"; and

  • (b) the reference to "the percentage of benefits paid for a week" in subsection 25(2) shall be read as a reference to "the percentage of benefits that the claimant would have been entitled to receive for a week as special benefits referred to in subsection 7(4.1) of the Act, had they not been paid provincial benefits,".
Insured Participant — Part II of the Act

76.11 A person is considered to be an insured participant for the purpose of paragraph 58(1)(b) of the Act if they would have been entitled to receive special benefits under section 22 or 23 of the Act and would have had a benefit period established for that purpose within the time required by that paragraph, had they not been paid provincial benefits.

Prescribed Hours and Weeks

76.12 (1) Paragraph 12(1)(a) is considered to include a week in respect of which a claimant is paid provincial benefits.

(2) Paragraph 12(2)(d) is considered to include a week in respect of which a claimant is paid provincial benefits as a prescribed week that is not to be taken into account when determining what weeks are within the rate calculation period.

Week Not Counted to Extend Qualifying Period

76.13 The reference to "a week during which the person was in receipt of benefits" in subsection 8(5) of the Act shall be read as including a week for which the person was paid provincial benefits.

Extension of the Benefit Period

76.14 (1) For the purpose of extending a claimant's benefit period under subsection 10(13), (13.1), (13.2) or (13.3) of the Act, each of the following references is considered to include a reference to the corresponding type of provincial benefits:

  • (a) a reference in paragraph 10(13)(b), (13.1)(b), (13.2)(b) or (13.3)(b) of the Act to benefits paid for the reasons mentioned in paragraph 12(3)(a) or (b) of the Act, as the case may be; and

  • (b) a reference in paragraph 10(13)(c), (13.1)(c), (13.2)(c) or (13.3)(c) of the Act to benefits that were not paid for the maximum number of weeks established for the reasons mentioned in paragraph 12(3)(a) or (b) of the Act, as the case may be.

(2) For the purpose of extending a claimant's benefit period under subsection 10(13) of the Act, the reference following paragraph 10(13)(c) of the Act to "each of paragraphs 12(3)(a), (b) and (c)" shall be read as a reference to "paragraph 12(3)(c)".

(3) For the purpose of extending a claimant's benefit period under subsection 10(13.1) of the Act, the reference following paragraph 10(13.1)(c) of the Act to "each of paragraphs 12(3)(b), (c) and (d)" shall be read as a reference to "each of paragraphs 12(3)(c) and (d)".

(4) For the purpose of extending a claimant's benefit period under subsection 10(13.2) of the Act, the reference following paragraph 10(13.2)(c) of the Act to "each of paragraphs 12(3)(a), (b) and (d)" shall be read as a reference to "paragraph 12(3)(d)".

(5) For the purpose of extending a claimant's benefit period under subsection 10(13.3) of the Act, the reference following paragraph 10(13.3)(c) of the Act to "each of those paragraphs" shall be read as a reference to "each of paragraphs 12(3)(c) and (d)".

76.15 If the child or children of a claimant who has received or is entitled to receive provincial benefits are hospitalized during the period referred to in subsection 23(2) of the Act, the claimant's benefit period is considered to be extended under subsection 10(12) of the Act by the number of weeks during which the child or children are hospitalized.

Reduction of Benefits

76.16 The benefits payable under section 22 or 23 of the Act to a claimant in respect of any week in respect of which the claimant has received or is entitled to receive provincial benefits shall be reduced as provided by section 76.17.

76.17 An amount equal to the amount of the provincial benefits that a claimant has received or is entitled to receive in respect of any week under a provincial plan shall be deducted from the amount of benefits payable under section 22 or 23 of the Act to the claimant in respect of that same week, in addition to any deductions referred to in section 19 and subsections 22(5) and 23(3.5) of the Act.

No Double Counting of Weeks

76.18 Where a week of provincial benefits has been taken into account for the purpose of any of sections 76.1 to 76.14 or 76.19, no week of benefits paid under section 22 or 23 of the Act shall be taken into account for that same purpose.

Payment of Benefits

76.19 (1) Subject to subsection (2), each week of provincial benefits paid to a claimant is considered to be a week of benefits paid under the Act and counts as a week for the purpose of calculating

  • (a) the overall maximum number of weeks for which benefits may be paid in a benefit period under paragraphs 12(3)(a) and (b) of the Act taken together; and

  • (b) the maximum number of weeks referred to in paragraph 12(4)(a) or (b) of the Act for which benefits may be paid.

(2) Where a provincial plan provides for the optional payment of provincial benefits at an accelerated rate, such that the maximum amount of a particular type of provincial benefit payable under the plan may be paid to the claimant over fewer weeks, and the claimant is paid those benefits at the accelerated rate, the number of weeks of benefits that those weeks of provincial benefits represent under the Act shall be determined by multiplying the number of weeks of the particular type of provincial benefits paid to the claimant by the result obtained by dividing the maximum number of such weeks of benefits payable at the non-accelerated rate by the maximum number of such weeks of benefits payable at the accelerated rate.

(3) If the determination of the number of weeks under subsection (2) results in a number that contains a fraction of a week, the number shall be rounded to the nearest multiple of one week or, if the amount is equidistant from two multiples of one week, to the higher multiple.

76.2 If the maximum number of weeks referred to in paragraph 12(3)(a) or (b) or (4)(a) or (b) of the Act is less than the maximum number of weeks for which the corresponding types of benefits may be paid under a provincial plan, the excess number of weeks for which provincial benefits may be paid shall not be taken into account for the purpose of determining the maximum number of weeks referred to in that paragraph.

Persons Making Claims Under Different Regimes

76.21 (1) Subsection (2) applies in respect of two persons who are caring for the same child or children and who do not reside in the same province at the time the first one of them makes an application under section 22 or 23 of the Act or an application for provincial benefits.

(2) Subject to subsection (3), where one of the two persons referred to in subsection (1) has applied for and is entitled to receive benefits under section 23 of the Act (referred to in this section as "the claimant") and the other person has applied for and is entitled to receive provincial benefits (referred to in this section as "the provincial applicant"), unless they have entered into an agreement as to the number of weeks of such benefits they will each respectively apply for or there is a court order respecting the sharing of those weeks of benefits,

(a) if the number of weeks of benefits that the claimant would otherwise be entitled to receive under section 23 of the Act is an even number, the number of weeks of benefits payable to the claimant is half that number; and

(b) if that number is an odd number,

  • (i) where the claimant made the earlier application, one week of those benefits plus half of the remaining weeks of benefits is payable to the claimant, and

  • (ii) where the provincial applicant made the earlier application, half the number of weeks of benefits remaining, after deducting one week, are payable to the claimant.

(3) The maximum number of weeks of benefits that may be paid to the claimant under section 23 of the Act shall not be greater than the maximum number of weeks for which benefits may be paid under paragraph 12(3)(b) of the Act, less the number of weeks of provincial benefits that are paid to the provincial applicant, taking into account any weeks of provincial benefits that are paid at the accelerated rate referred to in subsection 76.19(2), if applicable.

Waiving of the Waiting Period

76.22 The reference in paragraph 40(6)(b) to "allowances, payments or other moneys are payable to the claimant by the claimant's employer or former employer as sick leave pay" shall be read as a reference to "allowances, payments or other moneys were payable to the claimant by the claimant's employer or former employer as sick leave pay or provincial benefits were paid to the claimant".

Coming Into Force of Provincial Plan — Transition

76.23 For greater certainty,

  • (a) if a birth or a placement for the purpose of adoption takes place before the day on which this Part comes into force, the Act applies in respect of any claim for benefits made in respect of that birth or placement; and

  • (b) if a claimant has, before the day on which this Part comes into force, been paid one week or more of benefits under section 22 or 23 of the Act in respect of a birth or a placement for the purpose of adoption, the Act continues to apply in respect of any claim relating to that birth or placement.
DIVISION 4
 
PREMIUM AND ADJUSTMENT PAYMENTS — PROVINCIAL PLANS
 
Premium for Insured Person Covered in a Province by a Provincial Plan but Working in Another Province

76.24 Where an insured person who is covered by a provincial plan is employed by an employer in a province that has no provincial plan, the employer shall not take into account any premium reduction for the purpose of

  • (a) deducting the amount required to be deducted as or on account of the employee's premiums by paragraph 82(1)(a) of the Act; or

  • (b) remitting the amount of the employer's premium required to be remitted in respect of that employee by paragraph 82(1)(b) of the Act.
Premium for Insured Person Working in a Province that Has a Provincial Plan but Not Covered by that Plan

76.25 Where an insured person is employed by an employer in a province that has a provincial plan and the insured person is not covered by that plan, the employer shall take into account any premium reduction for the purpose of

  • (a) deducting the amount required to be deducted as or on account of the employee's premiums by paragraph 82(1)(a) of the Act; and

  • (b) remitting the amount of the employer's premium required to be remitted in respect of that employee by paragraph 82(1)(b) of the Act.
Premium Adjustment for Employees Residing in a Province that Has a Provincial Plan but Working in a Province that Has No Provincial Plan

76.26 (1) The Minister of National Revenue shall pay to a province that has a provincial plan a premium adjustment consisting of the total of the amounts that represent the premium reduction in respect of

  • (a) all amounts that are deducted by employers in a year, as or on account of employee's premiums, for every employee referred to in section 76.24 who resides in that province on December 31 of that year; and

  • (b) all amounts that are remitted by employers in a year as employer's premiums for every employee referred to in section 76.24 who resides in that province on December 31 of that year.

(2) The payment referred to in subsection (1) may be made by the Commissioner of Customs and Revenue.

Premium Adjustment — Credits and Debits

76.27 (1) Any amount paid by a province to the Receiver General on account of a premium adjustment shall be considered to be an amount paid as or on account of premiums under paragraph 72(a) of the Act and shall be

  • (a) paid into the Consolidated Revenue Fund; and

  • (b) credited to the Employment Insurance Account and charged to the Consolidated Revenue Fund under paragraph 73(a) of the Act.

(2) Any amount paid under section 76.26 to a province on account of a premium adjustment shall be paid out of the Consolidated Revenue Fund and charged to the Employment Insurance Account as if it were an amount required to be paid out of that Fund and charged to that Account by subsection 77(1) of the Act.

Overpayment and Refund of Employee's Premiums

76.28 (1) If a province that has a provincial plan has paid to the Receiver General a premium adjustment that corresponds to the amount of employees' premiums deducted in respect of an employee under that plan, that amount shall be taken into account as though the amount of the premium adjustment had been paid on account of the employee's premiums under the Act for the purpose of determining whether there has been an overpayment by the employee for the purpose of sections 95 and 96 of the Act.

(2) Where a premium adjustment in respect of employees' premiums referred to in paragraph 76.26(1)(a) and a premium adjustment in respect of employers' premiums referred to in paragraph 76.26(1)(b) has been paid to a province that has a provincial plan, the amount of those premium adjustments shall not be taken into account for the purposes of sections 95 and 96 of the Act.

DIVISION 5
 
ADMINISTRATIVE MATTERS
 
Social Insurance Number

76.29 A claimant's social insurance number shall be used for the purpose of facilitating the exchange, between the Government of Canada and a province, of information obtained with respect to a claimant under provincial law or the Act. 

Disclosure of Information

76.3 The Canada Customs and Revenue Agency and the Minister of National Revenue are authorized to disclose to a province that has a provincial plan information necessary for the administration of this Part that has been obtained by the Agency or the Minister under the Act or these Regulations and any information prepared from that information.

COMING INTO FORCE

2. These Regulations come into force on January 1, 2006 .



1 SOR/96-332